At 5:20AM ET, the blue-chip Dow futures were down 345 points, or about 1.3%, the S&P 500 futures tumbled 40 points, or around 1.4%, while the tech-heavy Nasdaq 100 futures indicated a decline of 126 points, or roughly 1.7%.

Elsewhere, in Europe, the region’s major bourses were broadly lower, with the regional benchmark falling to a 22-month low, as investors watched developments surrounding Brexit talks and Italy’s ongoing budget drama.

The pan-European STOXX 600 headed toward a fifth day of losses, sliding 1.6% to reach its lowest level since December 2016.

Other benchmarks sustained heavy losses, such as Germany’s DAX down 2.4%, also at December 2016 lows.

Earlier, Asian shares fell across the board, as a two-day rally for China’s stock market unraveled. The mainland’s benchmark Shanghai Composite lost 2.2%, while the Shenzhen Index fell 2.6%.

Over in South Korea, the Kospi sank 2.5%, touching lows not seen since March 2017. In Japan, the Nikkei 225 dropped 2.7%.

2. Caterpillar , McDonald’s Earnings to Grab Attention

A huge week of corporate earnings is going to ramp up notably on Tuesday.

Before the market open several major companies will report results, including Caterpillar (NYSE:CAT), McDonald’s (NYSE:MCD), United Technologies (NYSE:UTX), 3M (NYSE:MMM), Lockheed Martin (NYSE:LMT), Verizon (NYSE:VZ), and Harley-Davidson (NYSE:HOG).

Results out of Caterpillar, often seen as a bellwether for the global economy, will be closely watched for any signs of a slowdown in economic growth or inflation pressures. The industrial giant is expected to report adjusted earnings per share of $2.83 on revenue of $13.24 billion, according to estimates.

Seen as a proxy for the state of U.S.-China trade relations, Caterpillar shares are down 18% this year.

Investors will also keep a close eye on results from McDonald’s, as the company continues its overhaul of many locations. Wall Street expects the company to report same-store sales growth of 3.4% during the third quarter with adjusted earnings per share of $2.00 on revenue of $5.31 billion.

Shares of the fast food giant have lost around 3.5% this year.

3. Dollar Edges Lower

In currency markets, which have remained relatively calm amid the volatility witnessed in equities, the dollar was mildly lower against its major rivals.

The U.S. dollar index, which measures the greenback’s strength against a basket of six major currencies, was down 0.1% at 95.65.

The economic calendar will be fairly quiet on Tuesday with the Richmond Fed’s monthly report on manufacturing activity due at 10:00AM ET (1400GMT).

4. Gold Jumps as Investors Flock to Havens

Traditional safe-haven assets like gold, the Japanese yen and U.S. Treasurys were all higher, as a cocktail of negative drivers from Saudi Arabia’s diplomatic isolation to concerns over Italy’s budget and Brexit talks all depressed sentiment.

Gold, which is often sought in times of geopolitical tension or market turbulence, gained 1.5% to $1,239.60 a troy ounce, its best level since July 17.

Market players also flocked to the yen, another safe-haven currency. USD/JPY was last down 0.55% at 112.17.

Additionally, Treasury yields fell as market participants looking for safety piled into fixed income. The benchmark 10-year Treasury note yield slipped 5.0 basis points to 3.143%, the lowest in more than a week.

5. Oil Prices Decline Ahead of API Report

Oil prices traded near their lowest level in almost five weeks ahead of the release of fresh weekly data on U.S. commercial crude inventories.

The American Petroleum Institute is due to release its weekly report for the week ended October 19 at 4:30PM ET (2030GMT), amid expectations of an increase of about 3.5 million barrels.

If confirmed, it would be the fifth straight weekly climb in domestic crude supplies.

U.S. West Texas Intermediate WTI crude futures were down 86 cents, or 1.2% at $68.31 a barrel.

International Brent crude oil futures were at $78.44 per barrel, $1.39, or 1.7%, lower from their last close.

Prices also came under pressure after Saudi Arabia pledged to play a “responsible role” in energy markets, despite its increasing isolation over the killing of Saudi journalist Jamal Khashoggi.